After the jury awarded a complete of $83.3 million, atop the $5.5 million awarded after the primary trial that the defendant discovered unworthy of his look or testimony, Trump’s instant response was that the award was “ridiculous” and he would attraction. Like every defendant, Trump has the suitable to an attraction to the Second Circuit, and if he’s demonstrated something about his data of legislation, it’s the best way to delay proceedings.
However what occurs to this judgment within the meantime?
Mr. Trump pays the $83.3 million to the courtroom, which is able to maintain the cash whereas the attraction is pending. That is what he did final yr when a jury ordered him to pay Ms. Carroll $5.5 million in a associated case.
Or, Mr. Trump can attempt to safe a bond, which is able to save him from having to pay the complete quantity up entrance.
A bond may require him to pay a deposit and supply collateral, and would include curiosity and costs. It could additionally require Mr. Trump to discover a monetary establishment prepared to lend him a big sum of cash at a time when he’s in vital authorized jeopardy.
The good thing about paying the judgment sum into courtroom is that there aren’t any prices hooked up. Entry to and use of the funds are prescribed, however at the least you get the monies again if you happen to win. An attraction bond is actually an insurance coverage coverage. You pay a premium for insurance coverage and submit an sum of money because the bonding firm requires to safe the coverage. It’s not that the bonding firm doesn’t belief dropping defendants to pay the judgment. Oh wait, it’s. If, after dropping the attraction, the defendant doesn’t pay the judgment, the bonding firm is on the hook for fee.
How a lot of a bond can be required of a defendant like Trump? It’s not that he doesn’t have belongings that could possibly be hooked up and bought to cowl the judgment and related prices, however the belongings are tied up with company entities, and it could possibly be harder than one may think to differentiate Trump’s private belongings from the belongings of companies. There’s all the time the great outdated “piercing the company veil” tact, however that’s time-consuming, expensive and should not essentially win.
The bonding firm isn’t shopping for a nightmare of litigation to guarantee the gathering of a judgment towards the defendant. They need their premium and, past that, a swift and nice parting of the methods.
There’s an inherent assumption that as a result of somebody is “actually wealthy,” as Trump says when it’s in his curiosity to play “actually wealthy,” that he’s sufficiently liquid to cowl both the judgment or the prices, charges and safety required for a bond. Having a excessive internet price doesn’t imply you have got 100 mil mendacity round. Buildings are illiquid. They must be bought and closed earlier than they flip into money. In fact, loans may be taken out on illiquid belongings, however then curiosity must be paid on the loans, as NY Legal professional Common Tish James notes with accusatory eyes.
However what if Trump doesn’t deposit the judgment into courtroom or get an attraction bond to remain execution of judgment? Accumulating a judgment may be harder than individuals understand. Accessible belongings must be situated and seized. Financial institution accounts may be levied. Salaries may be garnished. However does Trump preserve his cash in his personal account? Does he get a wage? Who owns the 33,000 11,000-square-foot Trump Towers penthouse? And even when it have been bought at a sheriff’s sale, who would need an residence with gold-plated bogs that rivals bordellos in tackiness?
In the mean time, E. Jean Carroll has a bit of paper that claims she’s owed $83.3 million from Trump. It stays to be seen whether or not the exemplary damages shall be decreased or upheld. The quantity awarded by a jury has about as a lot connection to actuality because the size of a sentence imposed by a decide. It’s extra about vibes that anything, and this award says the jury felt some actually dangerous vibes from Darth Cheeto.
However don’t assume meaning Carroll shall be flying round in a shabby outdated airplane with the phrase “Trump” whited out on the tail. Trump has choices that elude most defendants, and if nothing else works, there are all these mothers and pops tossing in $5 an $10 to repay Trump’s judgments.
